How Traders Make Money When Ether Loses Momentum

[bonk]

ETH 2-month futures basis rate. Source: laevitas.ch

When Ethereum shows weak momentum, professional traders often shift from directional bets to range-based strategies. With Ether failing to hold above recent highs and derivatives signaling neutral-to-bearish sentiment, traders can profit by selling rallies and buying dips rather than expecting a breakout. This environment favors short-term trades, tight risk management, and strategies that benefit from price stagnation rather than explosive upside.

Another common approach is using futures and options to monetize uncertainty. With ETH options showing higher demand for downside protection, experienced traders may sell covered calls or structure spreads to collect premiums while limiting risk. In markets where confidence is low, earning from volatility and time decay often outperforms simply holding the asset.

[chainsniff]

selling calls and farming theta sounds boring but way better than bagholding tbh